Indian Oil Refinery Research Articles

Potential matching of carbon capture storage and utilization (CCSU) as enhanced oil recovery in perspective to Indian oil refineries.

Carbon capture storage and utilization is not a new technology, but its application to reduce CO2 emissions from the refinery sector is just now emerging as promising mitigation. This study will look closely at opportunities to match CO2 sources with potential sinks by matching carbon-capturing projects at Indian oil refineries with Enhanced Oil Recovery (EOR) operations at nearby oil fields in India. This study has identified four such pairings of source-sink matching along with the challenges the first of the kind implementation of CCSU technology in specific projects. The study concludes with a discussion on the way forward and policy implications for the commercial use of the CCSU in India.Graphical abstractCCS Carbon Capture Storage; CCU Carbon Capture Utilization, EOR . Source: Authors’ design.

Operational efficiency assessment of oil refineries using data envelopment analysis and Tobit model: evidence from India

PurposeIn India, the operational performance of the refinery is influenced by many factors. It is important to identify those key drivers which can assist the refineries to uphold and succeed in day-to-day production activities. Therefore, the purpose of this study is to evaluate the operational efficiency of seven Indian oil refineries during the period 2010 to 2018.Design/methodology/approachIn this work, a two-stage empirical analysis is proposed. In the first stage, the data envelopment analysis (DEA) – variable return to scale model is used to evaluate the operational efficiency of the Indian oil refineries. The ordinary least square (OLS), random effect generalized least square (GLS) and Tobit model are used in the second stage to identify the key determinants of efficiency and to explain the variation in refinery efficiency.FindingsThe first-stage DEA results showed that the Numaligarh Refinery Limited and Chennai Petroleum Corporation Limited are found to be more efficient than the rest of the sampled refineries and attained their efficiency scores of 0.993 and 0.981, respectively, during the study period. The second-stage regression analysis suggested three explanatory variables: refinery structure, utilization rate and distillate yield, which are found to be significant in explaining variations in refinery efficiency.Practical implicationsThis study provides valuable information that would help policymakers to formulate policies toward improving the efficiency of underperforming Indian refineries, which reduces the excessive use of resources and gives a competitive advantage.Originality/valueThis study proposes the first-ever application of the profit frontier DEA model for assessing the operational efficiency of oil refineries and explains the variation in refinery’s efficiency using OLS, GLS as well as the Tobit model.

A credibility approach on fuzzy slacks based measure (SBM) DEA model

Data Envelopment Analysis (DEA) is a multi-criteria technique based on linear programming to deal with many real-life problems, mostly in nonprofit organizations. The slacks-based measure (SBM) model is one of the DEA model used to assess the relative efficiencies of decision-making units (DMUs). The SBM DEA model directly used input slacks and output slacks to determine the relative efficiency of DMUs. In order to deal with qualitative or uncertain data, a fuzzy SBM DEA model is used to assess the performance of DMUs in this study. The credibility measure approach, transform the fuzzy SBM DEA model into a crisp linear programming model at different credibility levels is used. The results came from the fuzzy DEA model are more rational to the real-world situation than the conventional DEA model. In the end, the data of Indian oil refineries is collected, and the efficiency behavior of the companies obtained by applying the proposed model for its numerical illustration.

Estimating the energy consumption of Indian refineries: an empirical analysis based on panel data econometrics

The oil refinery sector is regarded as the leading energy-consuming industry that shares 33.1% of the total energy consumption in industrial sectors in India. Therefore, the present study estimates the actual energy consumption by using panel data of 12 Indian oil refineries for the period from 2011-2012 to 2016-2017. Using pooled OLS, fixed and random effect models, feasible generalised least squares and panel-corrected standard error models the study observed that that distillate yield, high sulphur crude processed, refinery age and refinery structure (dummy variable) are significant and positively affected to specific and actual energy consumption. Therefore, policies should be adopted for judicious use of these variables to reduce energy consumption in Indian refineries. The study recommends that Indian refiners have to adopt waste heat recovery, flare gas recovery, overall site heat integration and best operating practices to reduce energy consumption.

Estimating the energy consumption of Indian refineries: an empirical analysis based on panel data econometrics

The oil refinery sector is regarded as the leading energy-consuming industry that shares 33.1% of the total energy consumption in industrial sectors in India. Therefore, the present study estimates the actual energy consumption by using panel data of 12 Indian oil refineries for the period from 2011-2012 to 2016-2017. Using pooled OLS, fixed and random effect models, feasible generalised least squares and panel-corrected standard error models the study observed that that distillate yield, high sulphur crude processed, refinery age and refinery structure (dummy variable) are significant and positively affected to specific and actual energy consumption. Therefore, policies should be adopted for judicious use of these variables to reduce energy consumption in Indian refineries. The study recommends that Indian refiners have to adopt waste heat recovery, flare gas recovery, overall site heat integration and best operating practices to reduce energy consumption.

Estimating technical efficiency of petroleum refineries using DEA and tobit model: An India perspective

Due to a small profit margin, and for sustaining the level of competitiveness in the market, evaluation of the technical efficiency of Indian oil refineries can contribute in improving the overall performance. However, the technical efficiency of Indian refineries has not been analyzed until today. Therefore, this study measured the technical efficiency of 12 Indian oil refineries from 2011 to 2016. This research has utilized a two-stage approach: (1) Data Envelopment Analysis (DEA) is used to evaluate the technical efficiency of refineries; and (2) Tobit Regression model was applied to explain the variations in the efficiencies with the help of diverse explanatory variables. The DEA results revealed that IOCL-Barauni, BPCL-Kochi and IOCL-Panipat refineries are found highly efficient between 2011 to 2016 with an average efficiency score of more than 95%. A Tobit regression analysis also suggested four significant factors as explaining variations in refinery efficiency.

Ceramic industry at Morbi as a large source of SO2 emissions in India

Observations from the Ozone Monitoring Instrument (OMI), onboard the NASA's Earth Observing System (EOS) Aura satellite, reveal a large SO2 “hotspot” over Morbi, Gujarat, India, while the available emissions inventories do not report any major sources in this region. There are no industries that are typically associated with the elevated SO2 such as large power plants, smelters, or oil refineries in the Morbi region. Our analysis shows that the elevated SO2 source is attributed to the ceramic industries in an area of ~7 × 7 km2 near the city. OMI-estimated SO2 emissions from the Morbi ceramic industries have been near or above 100 kt y−1 since 2009, which are similar to emission levels from larger Indian oil refineries (such as Essar and Jamnagar) and power stations (such as Mundra Thermal Power Station and Ultra Mega Power Plant) located in Gujarat, India. According to OMI measurements, the SO2 emissions from the Morbi ceramic industries are presently five times higher than they were in 2005. This study demonstrates that in the absence of any other information about SO2 emissions from the ceramic industry, these satellite-based estimates can fill the gap in emission inventories in a timely fashion.

Integrated Model of Computable General Equilibrium and Social Cost Benefit Analysis of an Indian Oil Refinery: Future Projections and Macroeconomic Effects

Cost benefit analysis (CBA) has long been used as a useful tool to appraise and evaluate the value of a range of investment projects to a society. Certain aspects of this method such as the appropriate discount rate is an important concern, because the choice of discount rates deeply affect the valuations of future income streams. Other aspects concerning financial flows and appropriate ‘shadow prices’ have also received considerable attention. However, when a megaproject with the character of a ‘universal intermediate’ is considered, its multiplier effects may be wide-ranging and permeate several economic and social layers and may be captured only in the aggregates. This study examines the costs and benefits of Vadinar refinery in Gujarat with a focus on this welfare dimension on society for the project. The framework explores a methodological breakthrough in CBA studies. In constituting the macroeconomic effects of expansion of the mega oil refinery, the wider economic impact (WEI) is estimated using the computable general equilibrium (CGE) model and incorporated into the CBA. This assimilation of CBA with macroeconomic externality obtained from the CGE model framework is perhaps only one of its kind in economic analysis of major infrastructure projects of any country. CBA when combined with CGE as an analytical tool can be gainfully employed to appraise or evaluate large scale projects like oil refineries. JEL Classification: B41, C51, C52, C53, C54, C55, D50, D58, D60, D61, D62, H23, H43, L71, O22, Q43

Design and Surge Study of Salaya Mathura Pipeline for Higher Throughput of Crude Oil Transportation

Salaya Mathura Pipeline (SMPL) is one of the major crude oil pipelines in India stretching over a length of 1870Km Starting from Salaya (near Vadinar) in Jamnagar district on the coast of Gujarat totransport crude oil to Indian Oil refineries at Koyali (Gujarat), Mathura (Uttar Pradesh) and Panipat (Haryana). In light of the expansion of crude refining capacities of these refineries, redesign of SMPL is imminent. In this paper, two models for SMPL have been developed for design and operation increasing the throughput of crude oil from 30MMTPA to 40 MMTPA. In the first model, design of larger diameter loop-lines has been undertaken in order to meet the increased capacity. In the secondmodel, an alternative design has been proposed increasing the diameter of the main pipeline.The design methodology of these two models has been accomplished usingPipeline Studio (PLS). The first model deals with replacing the existing loop-lines, whereas the second model is concerned with replacing the entire main pipeline with larger diameter pipeline that can be run parallel to the existing line.In view of higher throughput, the pump stations have been redesigned.Both the cases of pipelines have been tested for real time operation by making a detailed study assuming steady state flow at various pressure conditions. As pressure surges occur due to the events such as shutting down of a pumping station or pumping unit, unstable controls, oscillation in tank levels, the sudden closure of a valve, or any other sudden blockage of the moving fluid, calculations have been carried out to predictthe pressure surges in the aforementioned pipelines using the Joukowsky equation. Comparison has been made between the results obtained from the equation and the pressure trends observed using PLS while operating under steady state conditions.

Public health risk assessment with bioaccessibility considerations for soil PAHs at oil refinery vicinity areas in India

Populations living in the vicinity of oil refinery sludge deposition sites may be at greater risk of potential exposure to polycyclic aromatic hydrocarbons (PAHs) through inhalation, ingestion, and direct contact with contaminated media. Three Indian oil refinery sludge deposition sites (at Haldia, Barauni and Guwahati) were chosen for study. Soil samples were collected from three different locations at each site. Mild solvent extraction by butanol and exhaustive extraction by acetone/hexane have been conducted to estimate the bioaccessible PAHs beside the total extractable PAHs content of the soil samples. Concentrations of 13 PAHs in the soils were found to be in a range of 67.02–95.21μg/g and bioaccessible PAHs were in a range of 19.296–36.657μg/g. A probabilistic health risk assessment with bioaccessibility considerations was carried out using Monte Carlo simulations for the estimation of the cancer risk exposed to the PAHs. The 90th percentiles cancer risks with bioaccessibility considerations of soil PAHs for children is 6.506E−05 and for the adults the risk is 6.609E−05. Risk assessments on extracted PAHs from exhaustive solvent extraction can overestimate the risk by 2.87–2.89 folds at 90% confidence level with respect to the biomimetic mild extraction procedure using butanol. According to USEPA above 1×10−6 extra risk of cancer is an alarm towards management. So, public health issues due to PAHs is imminent in these oil refinery vicinity areas. Sensitivity analysis revealed exposure duration (ED) and relative skin adherence factor for soil (AF) as the most influential parameters of the assessment. The profiling and risk assessment study with bioaccessibility considerations of PAHs from soil indicates that high PAHs concentration can lead to higher cancer risk for the vicinity area residents and local government should take immediate management actions.

Molecular-Level Structural Insight into Clarified Oil by Nuclear Magnetic Resonance (NMR) Spectroscopy: Estimation of Hydrocarbon Types and Average Structural Parameters

A direct and easy-to-grasp methodology based on the combination of quantitative 1H and 13C nuclear magnetic resonance (NMR) has been developed for the estimation of total aromatics, saturates, and several important structural parameters, such as aromaticity, average number of aromatic rings per molecule, average number of aromatic carbon atoms per molecule, average molecular weight, degree of aromatic substitution, degree of aromatic condensation, nature of condensation, and substitution to aromatic ring, etc. for clarified oil (CLO) from Indian oil refineries. These parameters, along with HPLC analysis data for di- to penta-ring aromatics, provide a molecular-level understanding of this potentially valuable feedstock, which can thus be correlated with process parameters for needle coke production from CLO. The method exploits the concept of group molecular weight (GMWt) and uses three empirical equations governing the nature of aromatic condensation. The various types of CLO that originated from Indian o...

System Safety Assessment Based on Past Incidents in Oil and Gas Industries: A Focused Approach in Forecasting of Minor, Severe, Critical, and Catastrophic Incidents, 2010–2015

Accident in an occupation which occurred due to series of repetitive minor incidents within the working environment. This work demonstrates the critical system safety assessment based on various incidents that took place to the different system and subsystem of two Indian oil refineries in five years of span 2010 to 2015. The categorization of incidents and hazard rate function of each incident category were classified and calculated. The result of Weibull analysis estimators in the form of scale and shape parameters provides useful information of incidents forecasting and their patterns in a particular time.

Technoeconomic Analysis of Solar H2 Production in the Vicinity of Indian Refineries

A technoeconomic evaluation has been conducted by the US Department of Energy, for four conceptual photoelectrochemical (PEC) H2 production systems namely, single-bed particle system, dual-bed particle system, PEC planar array system and PEC tracking solar concentrator system. The present work extends the analysis to capture solar energy in the vicinity of Indian oil refineries and generate H2 at estimated costs of 42, 84, 281 and 85 in ₹/kg H2 for the four systems, respectively. This includes the capital and operating costs involved if the PEC H2 production plant is set up around these refineries. Employing PEC H2 production systems obviate the CO2 generated by conventional processes like steam reforming, and thereby earning carbon credits. Inclusion of such credits is found to increase the annual earnings of the four conceptual systems by 0.7–8% depending on the selling price of H2. The sensitivity analysis of various economic factors like payback time, H2 price, carbon credit, efficiency of the system, etc., is performed which is useful in judging economics of the venture depending on the market variations in prices or rise in efficiency of the system or variable economic constraints of the investor.

Productivity Growth in Indian Oil Refineries: Efficiency Improvement or Technical Improvement

Productivity Growth in Indian Oil Refineries: Efficiency Improvement or Technical Improvement

Project risk management using multiple criteria decision-making technique and decision tree analysis: a case study of Indian oil refinery

This study proposes an integrated analytical framework for effective management of project risks using combined multiple criteria decision-making technique and decision tree analysis. First, a conceptual risk management model was developed through thorough literature review. The model was then applied through action research on a petroleum oil refinery construction project in the Central part of India in order to demonstrate its effectiveness. Oil refinery construction projects are risky because of technical complexity, resource unavailability, involvement of many stakeholders and strict environmental requirements. Although project risk management has been researched extensively, practical and easily adoptable framework is missing. In the proposed framework, risks are identified using cause and effect diagram, analysed using the analytic hierarchy process and responses are developed using the risk map. Additionally, decision tree analysis allows modelling various options for risk response development and optimises selection of risk mitigating strategy. The proposed risk management framework could be easily adopted and applied in any project and integrated with other project management knowledge areas.

Reengineering helps improve materials procurement in Indian oil refinery

The materials management function is always a major concern to the management of any organisation as high inventory and inefficient procurement processes have a significant effect on profitability. The problems multiply in the face of a very dynamic business environment, as is the present case in India. Hence, the existing system of materials planning, procurement processes and inventory management require reviewing with respect to the changed business environment. This study shows a radical improvement in materials procurement function of an Indian petroleum refinery through Business Process Reengineering (BPR) by analysing current process, identifying key issues, deriving paradigm shifts and developing reengineered processes through customer value analysis. BPR has been carried out on existing processes of 'material planning and procurement' and 'warehousing and surplus disposal'. The reengineered processes for the materials management function triggered several improvement projects that were identified by the group of executives who took part in the reengineering exercise. Those projects were implemented in an integrated framework, with the application of state of the art information technology tools and building partnership alliance among all stakeholders. Considerable improvements in overall functions of the organisation are observed, along with financial benefits. Copyright © 2006 Inderscience Enterprises Ltd.

Production of pollution‐tolerant strains of unicellular algae through mutagenic treatment. I. Ethyl methane sulphonate

AbstractThe unicellular algae Anacystis nidulans and Chlorella vulgaris were collected from effluents of the Indian Oil Refinery Barauni and the Sindri Fertilizer Factory (India), respectively, and isolated in unialgal and bacteria‐free culture.The algae were treated with the mutagen ethyl methane sulphonate and such mutagenically treated algae were compared with untreated controls with respect to growth characteristics and the capacity to absorb the two important components of polluted habitats, viz., phosphate and nitrate.Treated A. nidulans grew faster and showed a consistently higher uptake of phosphate than untreated. Treated C. vulgaris cells grew more slowly than untreated cells and showed lesser phosphate uptake during early phases of growth but greater uptake during the later phases.Nitrate uptake capacity was increased in both algae following treatment.

Production of pollution-tolerant strains of unicellular algae through mutagenic treatment. I. Ethyl methane sulphonate

The unicellular algae Anacystis nidulans and Chlorella vulgaris were collected from effluents of the Indian Oil Refinery Barauni and the Sindri Fertilizer Factory (India), respectively, and isolated in unialgal and bacteria-free culture. The algae were treated with the mutagen ethyl methane sulphonate and such mutagenically treated algae were compared with untreated controls with respect to growth characteristics and the capacity to absorb the two important components of polluted habitats, viz., phosphate and nitrate. Treated A. nidulans grew faster and showed a consistently higher uptake of phosphate than untreated. Treated C. vulgaris cells grew more slowly than untreated cells and showed lesser phosphate uptake during early phases of growth but greater uptake during the later phases. Nitrate uptake capacity was increased in both algae following treatment.